Everyone is focused on the AI trade cooling off but depending upon the specific company, there is some "throwing the baby out with the bathwater" going on here.The question is what are the 
babies"?

The concern isn't limited to Nvidia ($NVDA) or the AI hyperscalers anymore. The pendulum swing from "obvious" overvaluation to undervaluation is spreading into every sector connected to AI—semiconductor manufacturers, data center developers, power infrastructure, cooling companies, and even Bitcoin miners that are the transition into AI and high-performance computing (HPC) infrastructure.

The large cap players in this space are well-known and have research coverage:

Iris Energy (NASDAQ: IREN) is no longer just a Bitcoin miner--- which has positioned itself as a provider of a digital infrastructure, building renewable-powered data centers that support both Bitcoin mining and AI. IREN has secured a power pipeline of roughly 2.9 gigawatts (2,910 MW), giving it one of the largest expansion runways in the industry. With a market capitalization of approximately $13.8 billion, the stock reached a 2026/YTD high of  $76.87 but has since declined to $33.62 closed on Friday, even as the company continues to expand its AI infrastructure.

TeraWulf (NASDAQ: WULF) has already pivoted into an AI infrastructure story.  Although still a Bitcoin miner, the company recently signed a major 20-year, $19 billion lease agreement with Anthropic (Yes, that Anthropic) to provide AI infrastructure services to supply 401 MW, with the ability to expand. With the overlay of the current negative sentiment in this sector, TeraWulf has declined from a YTD high of $29.84 to  $19.79, leaving the company with a market capitalization of around $9.6 billion.

CleanSpark (NASDAQ: CLSK) is one of the largest publicly traded Bitcoin miners in North America. Although its primary business is still Bitcoin mining, it controls a substantial portfolio of energy assets—more than 900 MW—that could eventually support AI or HPC workloads as demand evolves. The company announced last week the signing of a  20-year infrastructure lease agreement with an undisclosed, investment-grade global technology company. The initial contract is expected to generate $6.6 billion in contracted revenue, with two five-year extension options that could increase the total value to $11.6 billion. Under the agreement, CleanSpark will deliver 175 MW of AI/HPC computing capacity beginning in late 2027. Even more notable, the customer also signed a letter of intent granting exclusivity over CleanSpark's Texas portfolio, representing up to 885 MW of secured and planned power capacity. And yet, CLSK has retreated from its recent high of $19.00 to $13.00.

The microcap players below are underknown with basically no research coverage, but recent positive company-changing developments have not been reflected in the recent stock price.:

Big Digital Energy (NASDAQ: BGDE) is a restructured digital infrastructure company focused on AI, high-performance computing (HPC), and digital asset infrastructure. The company currently has 129 MW of energized capacity online and is repositioning itself as an infrastructure provider rather than simply a Bitcoin miner. Recently, Big Digital announced a strategic colocation agreement with the Endeavor Group, under which Endeavor will deploy approximately 25,000 mining computers utilizing 75 MW of Big Digital's available compute capacity in a 50/50 profit-sharing arrangement designed to generate near-term cash flow without requiring additional capital investment. In other words....increasong revenue significantly  vs 2025 revenue. The company also recently announced a joint venture in Texas aimed at expanding its digital infrastructure footprint and capitalizing on growing AI and HPC demand. Despite these positive developments, BGDE has retreated significantly from its recent high of over $11.00/share. and closed at $5.70 on Friday. highlighting what appears to be a disconnect between operational progress and market sentiment.

Sphere 3D (NASDAQ: ANY) remains a smaller player in the digital infrastructure space but owns a meaningful power portfolio consisting of 53 MW across five operating facilities in three states. While historically known as a Bitcoin mining company, Sphere 3D has positioned itself with infrastructure that could support future AI and HPC workloads as demand for compute and power continues to increase. Despite possessing established operating assets and available power capacity, the stock continues to trade well below its YTD highs, suggesting that investors have broadly discounted the entire AI-adjacent infrastructure sector rather than differentiating among individual companies. After a dramatic price spike to over $6.00 after a significant

The price action seems disconnected from the news flow and the potential revenue. Markets often overshoot in both directions. During periods of fear, investors don't spend much time separating the winners from the losers—they simply sell the entire sector.

So, IREN continues to expand AI cloud capacity. WULF signs one of the largest AI infrastructure agreements announced this year. BGDE, with only 5.6 million shares outstanding is ramping up to expand beyond its current 129 MW. And ANY has less than 9 million shares outstanding with 53 MW of power capacity.  Can you pick the"babies" out now?

NOTE: Please do your own due diligence. 

Spending a lot of time looking for both short-term scalp opportunities and longer-term investment ideas. One thing I've learned is that sometimes what starts as a momentum trade can evolve into a longer-term investment if the investment story keeps improving and attracts a broader investor audience. 

After running my weekend scans, three names stood out for very different reasons: Red Cat Holdings (RCAT), Eos Energy (EOSE), and SKYX Platforms (SKYX). All three companies have Q2 earnings coming up (currently expected by mid-August), so they are worth watching over the next few weeks The info below is not comprehensive, so do your own research.

Red Cat Holdings (NASDAQ: RCAT) $8.83

• Market Cap: Approximately $1.3 billion
• Friday Volume: ~5.9 million shares
• Business: Designs and manufactures drones and unmanned aerial systems focused primarily on defense, military, and public safety applications. The company's unmanned marine systems is ramping up and it would not surprising to see contract announcements from this new division.

 

Watch for:

• From a technical chart perspective, RCAT looks like a triple bottom, with the stock continuing to build a base. If that pattern holds, it may provide an attractive technical setup heading into earnings.
• Investors  are expecting updates on defense contracts, production ramp up, revenue growth, and management's outlook during the Q2 earnings report.
• Short Interest is over 30% of the public float (as of June 30) makes it more interesting. Either the shorts are right and the stock is headed lower...or there is a real potential for a short squeeze.

Eos Energy Enterprises (NASDAQ: EOSE) $4.40

• Market Cap: Approximately $1.5 billion
• Friday Volume: ~22 million shares
• Business: Manufactures zinc-based long-duration battery storage systems for utilities and commercial energy storage projects.

What to watch for:

• OSE has been under pressure following the company's recently announced rights offering, which will dilute existing shareholders. (Read the company's rights offering press release for the details before investing.) But that overhang is temporary and the rights offering expires in late July.
• Despite that overhang, Q2 earnings could provide updates on manufacturing expansion, backlog conversion, customer deployments, liquidity, and future guidance. If execution continues improving, it could become an interesting recovery story.
• Short potential here too--30% of the public float is short.
• Technical chart indicates stock is Oversold

 

SKYX Platforms (NASDAQ: SKYX) $1.27

• Market Cap:  $150–$160 million
• Friday Volume: ~2.2 million shares
• Business: Developed a patented plug-and-play electrical ceiling outlet technology designed to make installing lighting, ceiling fans, and smart-home products safer and easier. Working towards a new construction mandate for residential market

What to watch for:

• One recent development that caught my attention is the steady increase in daily trading volume and share price following the company's removal from the Russell 2000 and Russell 3000 about ten days ago. Stocks often experience temporary selling pressure around index deletions, so I'm interested to see if this marks a change in trend.
• Another potential long-term catalyst is the company's relationship with Marriott. Management has said Marriott completed a successful pilot program using SKYX technology last year. As I understand it, Marriott has not yet made a system-wide decision on whether to adopt the technology across future renovation projects, but if that eventually happens, it could represent a meaningful commercial opportunity given that hotel properties are typically renovated every 4–5 years.
• Watching for updates on new builder partnerships, construction mandates,  licensing agreements, revenue growth, and the company's path toward positive cash flow.
• As of June 30, SKYX's short interest declined by 40%. JMO--but when you see such a sharp decline, it often indicates that the shorts are closing out their positions because continued weakness is not to be expected.

These companies are in completely different industries, but each has its own reason to be on a trader's watchlist:

• RCAT — Possible technical chart base with defense contract upside.
• EOSE — Rights offering has weighed on shares, but execution during earnings could change sentiment.
• SKYX — Notable volume trend after Russell index deletion, plus potential upside if commercial adoption continues to expand.

The only recommendation here is to do your own independent research.

As anyone who follows mining stocks knows, the spot gold price has declined dramatically and that correction has dragged many gold mining stocks lower—even as many companies are either increasing production or approaching final permitting. 

After gold hit the year-to-date high of US$5,320/oz the price declined 22%. Although it is always difficult to predict gold prices, but given its pullback, looking at promising gold (and silver) companies before gold rebounds could be a good idea now. The following companies are worth doing detailed due diligence and monitor corporate press releases for gold/silver production numbers, permitting, etc.

Large Gold Producers (All multi-billion dollar market caps)

Avino Gold & Silver (TSX/NYSE American: ASM)
Avino operates the Avino Mine in Durango, Mexico and is expanding production and continues to explore its large district-scale land package. The company's last news releases highlighted continued operational improvements, strong quarterly production and progress at  the La Preciosa Project, which the company projects will  develop in a significant growth asset. With both gold and silver prices significantly higher over the past twelve months (despite off their highs), ASM offers a company with both gold and silver production.

Equinox Gold (TSX: EQX | NYSE American: EQX)
Equinox Gold has been transformed  into one of North America's largest intermediate gold producers after merging with Calibre Mining. Now operating four (4)  producing mining complexes across Canada, the United States, and Nicaragua,  EQX  has a plan to develop into a 1+ million ounce per year gold producer with the Greenstone and Valentine mines. The company's most recent announcement reported that they signed a  long-term land access agreements with all three communities surrounding Los Filos in Brazil which allows the planning and technical work to restart the mine and expand future production. Greenstone is one of Canada's newest large-scale open-pit gold mines which reached commercial production in late 2024 and continues to ramp up toward full capacity. It is expected to become one of the country's largest gold producers with a mine life of over 15 years and significant exploration potential.

B2Gold (TSX: BTO | NYSE American: BTG)
B2Gold operates producing mines in Mali, Namibia and the Philippines while advancing the Goose Project in Nunavut in Canada. Latest news? The company released a strong Responsible Mining Report and continues to develop the Goose Mine toward becoming a key Canadian producer.  The Goose mine (a combination of open-pit and underground mining) is expected to produce 170,000 to 230,000 ounces of gold in 2026, and projected to increase to more than 300,000 ounces annually beginning in 2027.  Goose is expected to average approximately 300,000 ounces of gold production per year (over the first six years), making it one of Canada's newest large-scale gold mines feeding a 4,000 ton/day processing plant which may expand to 6,000 ton/day.  There is more risk with the jurisdictions overseas, but the Canadian project could mitigate some of that perception.

Junior Miners / Developers

Sonoro Gold (TSXV: SGO | OTCQB: SMOFF)
Sonoro's Cerro Caliche Project in Sonora, Mexico had a very positive PEA (using a $3,500/ox gold price) supporting a phased open pit operation and is advancing toward permitting, infrastructure construction and eventual gold production. Recent updates have focused on optimizing the project economics, advancing  towards expected permitting, and preparing for the next phase of development. Sonoro's flagship Cerro Caliche Gold Project is a fully permitted-stage, open-pit heap-leach gold project in Sonora, Mexico, located between Agnico Eagle's (NYSE:AEM) Santa Gertrudis project and the Mercedes Mine and has been recently expanded. The project contains over 420,000 ounces of gold resources with significant exploration potential as only about 30% of the known mineralized zones have been drilled to date. The company has raised capital in a series of non-brokered private placements at higher current equity prices. Significantly, insiders have participated in every private placement.  

Luca Mining (TSXV: LUCA | OTCQX: LUCMF)
Luca owns two producing mines in Mexico: Campo Morado and Tahuehueto. Campo Morado is a underground volcanogenic massive sulphide (VMS) mine producing zinc, copper, lead concentrates, with gold and silver by-product credits. The operation has a processing plant capable of handling approximately 2,500 tons/day and hosts six known mineralized deposits.  LUCA's  latest news reported drill results from the El Rey Zone at Campo Morado, including a 28.4-metre intercept grading 2.3 g/t gold, 135 g/t silver, along with significant copper, lead and zinc, demonstrating continued resource expansion potential.

Dryden Gold (TSXV: DRY | OTCQB: DRYGF)

Dryden's flagship Gold Rock Camp is emerging as a district-scale discovery rather than a single deposit. Mineralization has now been traced for several kilometres and remains open in every direction. Recent drilling continues to intersect broad zones of gold The company continues to report high-grade gold intercepts from the Gold Rock Camp while systematically expanding multiple targets. Its latest drilling update continued to demonstrate high-grade mineralization along the Elora Gold System, supporting the potential for a significant new gold district in Northwestern Ontario.   

Check the stock charts, recent press releases, cash on hand and any recent mineralization reports, permitting announcements and PEA's.

As anyone who follows mining stocks knows, the spot gold price has declined dramatically and that correction has dragged many gold mining stocks lower—even as many companies are either increasing production or approaching final permitting. 

After gold hit the year-to-date high of US$5,320/oz the price declined 22%. Although it is always difficult to predict gold prices, but given its pullback, looking at promising gold (and silver) companies before gold rebounds could be a good idea now. The following companies are worth doing detailed due diligence and monitor corporate press releases for gold/silver production numbers, permitting, etc.

Large Gold Producers (All multi-billion dollar market caps)

Avino Gold & Silver (TSX/NYSE American: ASM)
Avino operates the Avino Mine in Durango, Mexico and is expanding production and continues to explore its large district-scale land package. The company's last news releases highlighted continued operational improvements, strong quarterly production and progress at  the La Preciosa Project, which the company projects will  develop in a significant growth asset. With both gold and silver prices significantly higher over the past twelve months (despite off their highs), ASM offers a company with both gold and silver production.

Equinox Gold (TSX: EQX | NYSE American: EQX)
Equinox Gold has been transformed  into one of North America's largest intermediate gold producers after merging with Calibre Mining. Now operating four (4)  producing mining complexes across Canada, the United States, and Nicaragua,  EQX  has a plan to develop into a 1+ million ounce per year gold producer with the Greenstone and Valentine mines. The company's most recent announcement reported that they signed a  long-term land access agreements with all three communities surrounding Los Filos in Brazil which allows the planning and technical work to restart the mine and expand future production. Greenstone is one of Canada's newest large-scale open-pit gold mines which reached commercial production in late 2024 and continues to ramp up toward full capacity. It is expected to become one of the country's largest gold producers with a mine life of over 15 years and significant exploration potential.

B2Gold (TSX: BTO | NYSE American: BTG)
B2Gold operates producing mines in Mali, Namibia and the Philippines while advancing the Goose Project in Nunavut in Canada. Latest news? The company released a strong Responsible Mining Report and continues to develop the Goose Mine toward becoming a key Canadian producer.  The Goose mine (a combination of open-pit and underground mining) is expected to produce 170,000 to 230,000 ounces of gold in 2026, and projected to increase to more than 300,000 ounces annually beginning in 2027.  Goose is expected to average approximately 300,000 ounces of gold production per year (over the first six years), making it one of Canada's newest large-scale gold mines feeding a 4,000 ton/day processing plant which may expand to 6,000 ton/day.  There is more risk with the jurisdictions overseas, but the Canadian project could mitigate some of that perception.

Junior Miners / Developers

Sonoro Gold (TSXV: SGO | OTCQB: SMOFF)
Sonoro's Cerro Caliche Project in Sonora, Mexico had a very positive PEA (using a $3,500/ox gold price) supporting a phased open pit operation and is advancing toward permitting, infrastructure construction and eventual gold production. Recent updates have focused on optimizing the project economics, advancing  towards expected permitting, and preparing for the next phase of development. Sonoro's flagship Cerro Caliche Gold Project is a fully permitted-stage, open-pit heap-leach gold project in Sonora, Mexico, located between Agnico Eagle's (NYSE:AEM) Santa Gertrudis project and the Mercedes Mine and has been recently expanded. The project contains over 420,000 ounces of gold resources with significant exploration potential as only about 30% of the known mineralized zones have been drilled to date. The company has raised capital in a series of non-brokered private placements at higher current equity prices. Significantly, insiders have participated in every private placement.  

Luca Mining (TSXV: LUCA | OTCQX: LUCMF)
Luca owns two producing mines in Mexico: Campo Morado and Tahuehueto. Campo Morado is a underground volcanogenic massive sulphide (VMS) mine producing zinc, copper, lead concentrates, with gold and silver by-product credits. The operation has a processing plant capable of handling approximately 2,500 tons/day and hosts six known mineralized deposits.  LUCA's  latest news reported drill results from the El Rey Zone at Campo Morado, including a 28.4-metre intercept grading 2.3 g/t gold, 135 g/t silver, along with significant copper, lead and zinc, demonstrating continued resource expansion potential.

Dryden Gold (TSXV: DRY | OTCQB: DRYGF)

Dryden's flagship Gold Rock Camp is emerging as a district-scale discovery rather than a single deposit. Mineralization has now been traced for several kilometres and remains open in every direction. Recent drilling continues to intersect broad zones of gold The company continues to report high-grade gold intercepts from the Gold Rock Camp while systematically expanding multiple targets. Its latest drilling update continued to demonstrate high-grade mineralization along the Elora Gold System, supporting the potential for a significant new gold district in Northwestern Ontario.   

Check the stock charts, recent press releases, cash on hand and any recent mineralization reports, permitting announcements and PEA's.

One of the biggest opportunities in the market is finding companies before the broader investment world discovers them. At that "pre-discovery" stage, there usually is no Wall Street research coverage, no flashy 12-month price targets, and very little institutional sponsorship (if any). Investors are left doing the old-fashioned work: reading SEC filings, studying press releases, watching CEO interviews on YouTube, and sitting through virtual investor conference presentations.

Doing that work/due diligence can be very rewarding. Here are four stocks that are good examples of finding companies before success was assured.

BGDE (Big Digital Energy) Closed on June 18--$10.67

Currently a bitcoin miner with129 Megawatts of power, expandable to 153 MW with capex

• Market Cap: $39 million.
• Shares Outstanding: 5.5 Million
• New Management Ownership; 1.5 million shares

 

Nasdaq just confirmed last week the company's continued listing compliance, removing a significant overhang that had weighed on investor sentiment.

From a technical standpoint, BGDE recently broke above its 200-day moving average on strong volume. The stock is now trading above the psychologically important $10/share level, a threshold that often places a company on the radar of additional institutional investors and mutual funds.

The company also recently posted an updated investor presentation on its website. www.bigdigital.energy/investor-hub/company-presentations/

NOTE: When a microcap begins clearing technical resistance at the same time a major listing-risk concern disappears, traders should pay attention for more news.   

ANY (Sphere 3D) Closed at $3.43

• Market Cap:  About $26 million 
• Shares Outstanding: 8.2 million

On June 1, the long-awaited merger was announced and the stock exploded from below $2/share to roughly $6 in only a few trading sessions. Unsurprisingly, the move became overextended and the stock has since retraced into the mid-$3 range.

However, the underlying facts remain compelling considering the huge increase in megawatt power access. Before the merger, ANY was essentially a bitcoin miner with approximately 8 megawatts of power capacity. Following the transaction, the company now controls approximately 53 megawatts across five facilities in three states with a focus to transitioning to AI infrastructure. A modest per/MW valuation of $1.5 million per megawatt would suggest a market cap of about $80 million.

Another way to view the deal is that power capacity increased more than fivefold  (5X) while the share count expanded from roughly 4 million shares to approximately 8.2 million shares outstanding. (only 2X)

Note: Traders focused on the pullback last week. But watch for a consolidating base and a more news out of a merged company that has talked about expanding to 100 MW.

RCAT (Red Cat Holdings) Closed at $11.44

• Approximate Market Cap: $1.9 billion.
• Research Analyst Consensus: Strong Buy.
• Average 12-month Price Target: Approximately $22/share, with published targets ranging as high as $25.

RCAT has transformed over the past two years from a small drone manufacturer trading below $2/share into one of the most discussed names in the defense-drone sector.

Technically, the chart  has been"filling the gap" created during prior rapid advances. See that chart--a great example of filling the gap.  Many chart watchers view this type of consolidation as a constructive process that can build a stronger foundation for future moves.

The next major checkpoint is earnings, where investors will be looking for continued quarter-over-quarter revenue growth and confirmation that recent contract momentum is translating into financial results.

Note: RCAT is no longer an undiscovered microcap looking for attention. The question has shifted from "Will they win contracts?" to "Can they execute at scale, expand their footprint from just aerial drones to Unmanned Maritime drones and report significant revenue and net income numbers."  

UMAC (Unusual Machines) Closed at $24.95

• Market Cap: Apprimately $800 million 
• Analyst Consensus: Buy / Strong Buy.
• Average 12-month Price Target: Approximately $25-$27, with targets reaching $30. With a recent upgrade to $40 target price

UMAC is another example of what can happen when investors identify a promising microcap early. Less than two years ago, shares traded below $2. Today the company is viewed as a meaningful participant in the rapidly expanding U.S. drone ecosystem.

The story has attracted increasing analyst coverage as revenue growth accelerates and management continues to build a domestic drone-components platform at a time when U.S. supply-chain independence has become a strategic priority. In other words, UMAC benefits despite which drone manufacturer is awarded a contract.

Note: UMAC illustrates why patience is important in microcap investing. Many of the biggest winners don't look obvious at the beginning. Investors who did their due diligence, monitored management's guidance with actual results, and stayed patient were rewarded long before Wall Street analysts started publishing target prices.

Bottom Line

The biggest gains are often made before a stock receives widespread analyst coverage and institutional sponsorship. By the time multiple firms are publishing bullish price targets, a significant portion of the move may already have occurred. BGDE and ANY represent the "early birds" and RCAT and UMAC show how it is never too late to profit in an evolving investment story.

In other words, BGDE, ANY, RCAT, and UMAC are all very different stories, but they share one common trait: investors who spent time reading filings, press releases, and management commentary had the opportunity to understand the story before it became obvious to everyone else.

So, do the DD and, at the minimum, monitor these names for future news and progress.

GLTA

Two Junior Gold Miners Ready to Rebound with Gold Prices: Borealis Mining $BORMF and Sonoro Gold $SMOFF

After a strong run in gold prices to record highs earlier this year, gold has retreated 25% from its YTD high of $5,589/oz as investors locked in profits and interest rates rose. The pullback has obviously negatively impacted  junior gold miners, many of which have declined too despite impressive project economics and exploration potential. While near-term sentiment remains cautious, the technical chart suggest gold may be ripe for a rebound.  If sentiment on gold shifts to cautiously optimistic,  the junior miners—whose shares typically provide more leverage to gold price increases and decreases—have the potential for significant upside.

Borealis Mining (OTC: BORMF / BGOG.V) at $0.66 USD released an updated PEA on the Sandman Gold Project for an open pit mine in Nevada in February 2026. With a NPV (6%) of $203 million and an Internal Rate of Return of 105% with a projected 340,000 ounces of life-of-mine gold production (9 year mine life). Borealis recently announced the commencement of a 5,000 meter drilling program at its wholly-owned Sandman Gold Project.

With a market cap of about $98 million , Borealis recently reported six month revenues of $2.6 million and a net loss of $3.84 million. 

Borealis is a junior miner already booking revenues with a permitted heap-leach gold mine & processing facility.

Sonoro Gold (SMOFF / SGO.V), trading at $0.158 USD , is awaiting final Mexican government permitting for its Cerro Caliche gold project in Sonora. The permitting decision is  the company's most important near-term catalysts.

What makes this investment story compelling is the wide disconnect between market valuation and project economics revealed in its recently updated PEA. Sonoro's updated 2026 PEA outlined an after-tax Net Present Value (NPV) 8% of US$224 million and a 50% Internal Rate of Return (IRR) using a very conservative $3,500 (USD) gold price assumption, with initial capex estimated at about US$83 million. The study envisions a 10-year open-pit heap leach operation producing 459,000 gold-equivalent ounces over the mine life.

Despite these economics, Sonoro's market capitalization is about $50 million (USD),with near term potential catalysts of permitting, development headlines, and a rebound in gold prices.

Recent news flow is worthy of comment.  The company completed a series of non-brokered private placements, including a fully committed and oversubscribed financing that raised approximately $11.1 million, with insiders participating as they have done in all past capital raises. Sonoro has stated that proceeds will fund a 50,000-meter drilling program and expansion work at Cerro Caliche. The repeated non-brokered financings also strongly suggest continued support from existing shareholders and insiders. Combined with recent moves to acquire additional mineral concessions adjacent to Cerro Caliche, the capital raises appear consistent with preparing for future infrastructure capex requirements, aggressive resource expansion drilling, and the ongoing enlargement of the project's land package.

Summary

Sonoro is trading at roughly 22–25% of its PEA NPV, whereas Borealis is trading around 50–60% of its PEA NPV. Both companies have the potential for significant upside as gold prices rebound.

Do the research--monitor for press releases, view CEO interviews, read SEC filings. It takes some work, but could be well worth it.

Monitoring stocks that have experienced sharp selloffs can be prime hunting grounds for potential bottom reversals. It takes some due diligence to see if recent news can explain the weakness, but often times the down draft has been overdone. The following four stocks may see their declines stabilize and rebound with any news. But, again, do your due diligence.

Sphere 3D $ANY $1.80 is getting some attention as a small-cap digital infrastructure and bitcoin mining story focused on power capacity expansion and a pending merger with Cathedra Bitcoin.

Sphere 3D currently operates approximately 8 MW of self-owned mining infrastructure at its Iowa facility. The company has been repositioning itself as a leaner, vertically integrated bitcoin mining and power infrastructure operator with a relatively tight share structure (currently about 3.7 million shares outstanding).

However, the near term catalyst is the proposed all-stock merger with Cathedra Bitcoin, which would dramatically expand the company’s total Megawatt capacity. Cathedra contributes approximately 45 MW of power capacity across a number of facilities in Kentucky and Tennessee, while the combined company is expected to total 53 MW across five data centers in Iowa, Kentucky, and Tennessee. Importantly, Cathedra shareholders have already approved the merger, and management has indicated the transaction is expected to close in the near term, pending customary closing conditions and final approvals. The strategic thesis extends beyond its current bitcoin mining. Management has repeatedly emphasized that the merged company intends to pursue high-performance computing (HPC) and AI infrastructure opportunities, leveraging existing power relationships and modular infrastructure deployment. In the current market, access to scalable power capacity is increasingly viewed as a premium asset for AI and compute-intensive workloads.

Recent weakness in ANY shares appears tied largely to investor reaction following a disappointing 10-Q filing released after market close on Friday. Near-term financials and operating results were not viewed favorably by the market, contributing to the selloff. However, many investors appear focused less on current standalone results and more on the post-merger combined entity and its infrastructure footprint. 

One of the more notable aspects of the story is the expected post-merger capital structure. Despite the significant increase in infrastructure assets and power capacity, the combined company is expected to totalmaintain a relatively low share count of about 7.5 million shares.

The merger effectively transforms Sphere 3D from a small standalone miner into a multi-state digital infrastructure platform with significant power assets, operational scale, and optionality tied to AI compute demand. For investors, the central question is whether the market starts to value ANY less as a distressed micro-cap miner and more as an emerging power infrastructure and compute platform. Reading between the lines of shareholder approval at Cathedra Bitcoin and ANY management recently announcing the merger was on track, ANY is worth watching for news on the merger from the ANY side.

Red Cat Holdings $RCAT $8.55 has retreated sharply in recently to below $9.00 (Look at that chart!) from $16.91 in late March. It did not help when the company raised over $200 million at a discount to market price of $9.40. Traders have pointed to the oversold RSI of 32  as a reason to monitor for a bottom reversal. Fundamentally, the company continues to report rapid growth. In its recent Q1 2026 results, Red Cat posted revenue of $15.5 million, up 849% year over year, while gross margins improved substantially to 12.7% from negative levels a year earlier. The company also highlighted growing international demand for its Black Widow drone systems from NATO and Asia-Pacific allies.

Recent press releases have showcased an aggressive expansion strategy across air, maritime, and autonomous systems. Highlights include:

• New Black Widow drone orders from NATO and Asia-Pacific military customers.
• Partnership with Ukraine’s Ministry of Defense-linked Spetstechnoexport focused on next-generation unmanned systems.
• Acquisition of Apium Swarm Robotics to expand upon autonomous swarming capabilities.
• A pending acquisition of Quaze Technologies focused on wireless power solutions.
• Expansion of Blue Ops and maritime drone initiatives.(Unmanned "suicide" boats)
• Continued scaling of manufacturing capacity to support larger U.S. and allied defense contracts (which has required capital raises)

Red Cat has positioned itself as a vertically integrated “all-domain” drone and robotics platform rather than simply a hardware manufacturer. Management has also emphasized its readiness to capitalize on potentially large future Pentagon UAV and USV procurement budgets. Investor speculation remains elevated around additional Army SRR (Short Range Reconnaissance) awards and follow-on contracts. 

Modular Medical $MODD $3.33 a medical device company developing simplified insulin patch pumps aimed at the large population of diabetics who avoid traditional, more complex pump systems, has had a tough few weeks. Despite the company’s lead product, the Pivot tubeless insulin patch pump, recently received FDA 510(k) clearance, a major regulatory milestone that significantly de-risks commercialization and positions the company for an initial U.S. launch in 2026, the company's stock has been under pressure.

MODD has been highly volatile due to multiple capital raises and dilution concerns.  But the technical chart has hit oversold RSI -----after the post-financing decline and reverse stock split, with many speculative investors viewing the setup as a potential high-risk rebound candidate if commercialization milestones are met. However, dilution risk remains one of the primary concerns for shareholders.

Several analyst research reports have highlighted the company’s differentiated approach. Bulls argue Modular Medical is targeting the underserved “almost-pumper” market by simplifying insulin delivery versuscurrent systems from larger players.  

Because the diabetes-device market has been concentrated around larger cap strategic buyers, some investors believe that Modular Medical could eventually become an acquisition target for major medtech firms such as Medtronic $MDT, Abbott Laboratories $ABT, or other diabetes-device manufacturers seeking a lower-cost patch pump platform.  

Health In Tech $HIT $1.01 reported disappointingQ1 2026 revenue of $8.8 million, representing only 9% year-over-year growth as it ramped up investment in expansion efforts. The market reaction was not pretty...but the chart is now at an Oversold Relative Strength Index (RSI) of of 29. It may take some time to build a base, but any positive news on progress in the Second Quarter financials and HIT could stage a healthy bounce back.  

Management indicated that the increased spending is focused on growing its presence in the rapidly growing self-funded health insurance market through investments in sales distribution, carrier relationships, and AI-driven platform capabilities. The company currently works with approximately 900 distribution partners (in a sector that has over 1 million brokers) representing significant expansion potential.

Health In Tech also reaffirmed its 2026 revenue outlook of $45 million to $50 million (a 45%- 50% increase).

Sphere 3D (Nasdaq:ANY) issued a press release this morning highlighting the upcoming merger. https://www.morningstar.com/news/accesswire/1164667msn/sphere-3d-and-cathedra-advance-proposed-combination-to-establish-power-optimized-digital-infrastructure-platform  

ANY is in a recently hot sector of bitcoin mining moving to AI Infrastructure. With the merger expected to close soon, giving ANY access to 53 Megawatts of power capacity in five facilities, ANY could be playing "catch up" to other miners like $IREN, $RIOT, $HUT that are repurposing their facilities with MW power access. The post-merger company plans to continue building "a robust pipeline of over 100 MW of potential expansion opportunities to further expand its portfolio of infrastructure assets. In the past six months, Cathedra's new leadership team has successfully increased its power capacity by 50% online and developed a robust pipeline."

There is on research analyst with a target price of $3.00, which may be re-rated after the merger closes.

ANY 52-week trading range: $1.08 to $12.60. Yesterday's trading volume was over 10X average daily trading volume and broke through near term resistance of $1.50 (50 Day Moving Average). The 200 Day Moving Average is  $4.27.

Real Messenger Corp (Nasdaq:RMSG) was up sharply in the pre-market (and holding most of its gains after the market open) after news that the company  received a formal notification from  Nasdaq dated May 6, 2026, notifying the Company it has regained compliance with Nasdaq Listing Rule 5550(a)(2), which requires listed securities to maintain a minimum bid price of $1.00 per share. Obviously, regaining Nasdaq compliance has eliminated a major overhang in the stock--with investors waiting for this news to buy and shorts hoping for a delisting notice covering their short positions.  

As of April 15, 2026, Real Messenger (RMSG) had a short interest of 958K shares sold short (20.23% of the public float.) showing a major bet by shorts that Nasdaq would not confirm continued listing without a reverse split. RMSG operates a real estate-focused social messaging and networking platform that connects agents, buyers, and sellers across multiple countries.

RMSG 52-week range: roughly $0.33 low to $5.46 high. Key resistance appears to be near the $3-$3.50 area, while support is around the $1 zone. The very low public float and continued short covering could give this move some legs.

How these two tickers trade in today's trading session will be interesting. Short squeezes are unpredictable in both volatility and length of time. Do your due diligence--press releases and SEC filings and any research reports.

 

$GOVX (Nasdaq:GOVX, $1.65) GeoVax’s main focus is GEO-MVA, a vaccine designed to protect against mpox and smallpox utilizing a well-known vaccine technology known as the Modified Vaccinia Ankara (MVA). The company is working with regulators (US and European) to accelerate development and expects to enter into a pivotal Phase 3 clinical trial in the second half of 2026.

Concurrently, GOVX is advancing Gedeptin®, its experimental cancer therapy that uses a targeted “gene-and-drug” approach to destroy tumor cells more selectively. First, the treatment is injected directly into the tumor using a non-replicating viral vector—a modified virus that cannot reproduce but can deliver genetic instructions safely into cells. These "instruction"s cause tumor cells to produce an enzyme called purine nucleoside phosphorylase (PNP).

After the enzyme is present in the tumor, the patient receives a separate inactive drug ("prodrug") through the bloodstream. On its own, the prodrug has little effect. However, upon reaching the tumor, the PNP enzyme converts it into a highly toxic cancer-fighting compound directly inside the tumor environment.

This approach could concentrate the cancer-killing activity within the tumor while reducing exposure to healthy tissues elsewhere in the body. And potentially changing the Standard of Care (SOC) in the future for many cancers.

With 1.36 million shares traded today, coupled with a healthy price increase, GOVX is attracting investor interest.

Sphere 3D (Nasdaq: ANY, $1.70)  Sphere 3D Corp has announced the company will merge with Cathedra Bitcoin Inc. to move from bitcoin mining to AI Infrastructure. The merger is anticipated to happen before the end of May, 2026, bringing 53 Megawatts of power at five (5) data center sites in Iowa, Kentucky, and Tennessee.

With the merger anticipated to be a 51%/49% split, the shares outstanding will double to about 12 Million shares--but the market cap of the merged companies would be about $21 million---in a market sector that values MW between $1 million to $1.5 Million per Megawatt.

Big Digital Energy (Nasdaq: BGDE, $6.33) — formerly known as Mawson Infrastructure (MIGI) — has new management and a new Board of Directors put in place by an activist group that has bought about 29% of the 5.5 million shares outstanding and won control.

The underutilized existing 129 MW of powered capacity, a key asset in a power-constrained data center market, attracted the attention of savvy investors and have wasted no time in executing on it plan to enhance shareholder value. (After all, the activist group own 1.5 million shares.) BGDE's most important recent announcement is a 75 MW colocation / joint mining agreement with the following details:

• Approximately 25,000 ASIC (S19XP) Bitcoin miners to be deployed
• 12-month term, cancellable with 30 days’ notice (providing opportunity for BGDE to accommodate a potential AI customer)
• Uses existing capacity (no incremental Capex from BGDE)
• Designed to rapidly fill idle infrastructure and generate cash flow
• 50/50 profit share between BGDE and the client
• BGDE receives 100% of cash mining proceeds upfront
• Client to be compensated with:
  • 20% stock (VWAP)
  • 80% warrants
• Implies a capital-light structure where the partner funds hardware while BGDE monetizes power. This structure effectively converts unused megawatts into immediate revenue.

The latest 8-K filing clarifies several important financial terms:

• Warrants issued at $20 strike price with 5-year duration (Over 4X the current market price)
• Equity issuance tied to monthly mining cash flows
• Affiliate compensation heavily skewed toward equity (vs. cash), supporting thesis of alignment with current shareholders.
• Contract utilization: 75 MW (~58% of current capacity)

Note: Do your own due diligence. After today's trading, there will be more investors and traders monitoring for future news. Read the past press releases and SEC filings.

Every trader wants to get into a stock BEFORE it moves much higher from a recent bottom--- but are worried that they are getting in "too soon". But it is always best to do preliminary due diligence on a few ideas to gain some familiarity if and when news hits. Better to not be rushed by already knowing the basic investment story. These three ideas look to be compelling enough to monitor for future developments and investor interest.

$GOVX (Nasdaq:GOVX) GeoVax’s main focus is GEO-MVA, a vaccine designed to protect against mpox and smallpox utilizing a well-known vaccine technology known as the Modified Vaccinia Ankara (MVA). The company is working with regulators to accelerate development and plans to initiate a pivotal Phase 3 clinical trial in the second half of 2026. GeoVax’s goal is to help increase the global supply of vaccines against these viruses and strengthen preparedness for future outbreaks or potential bioterror threats.

Concurrently, GOVX is advancing Gedeptin®, its experimental cancer therapy that uses a targeted “gene-and-drug” approach to destroy tumor cells more selectively. First, the treatment is injected directly into the tumor using a non-replicating viral vector—a modified virus that cannot reproduce but can deliver genetic instructions safely into cells. These "instruction"s cause tumor cells to produce an enzyme called purine nucleoside phosphorylase (PNP).

After the enzyme is present in the tumor, the patient receives a separate inactive drug ("prodrug") through the bloodstream. On its own, the prodrug has little effect. However, upon reaching the tumor, the PNP enzyme converts it into a highly toxic cancer-fighting compound directly inside the tumor environment.

Bottom Line-this approach may concentrate the cancer-killing activity within the tumor while reducing exposure to healthy tissues elsewhere in the body. And potentially changing the Standard of Care in the future for many cancers.

On a technical chart basis, GOVX is coming off its recent intra-day low of $0.96 and exhibiting increased daily trading volume with higher prices.

One to Watch in the Near Term:  Sphere 3D (Nasdaq:ANY)  The key to valuing Sphere 3D Corp. in the immediate future is that the stock is no longer really a “bitcoin miner” story if the Cathedra Bitcoin Inc. merger closes and management successfully pivots into AI/HPC infrastructure.

Right now, the market still largely values ANY like a micro-cap mining operator. But mining companies are pivoting to AI infrastructure.

Examples include:

Hut 8 Corp. — NASDAQ: HUT

Applied Digital Corporation — NASDAQ: APLD

Core Scientific, Inc. — NASDAQ: CORZ

Iris Energy Limited — NASDAQ: IREN

What the merger means for ANY

The announced merger says the combined company initially expects:

• 53 MW of operating power capacity
• Five (5) data center sites in Iowa, Kentucky, and Tennessee
• With stated strategy to pursue HPC / AI infrastructure opportunities

That is still tiny versus hyperscaler-scale operators, but in the current AI market, even tens of MW matter because usable power has become scarce. With the merger anticipated to be a 51%/49% split, the shares outstanding will double to about 12Million shares--but the new market cap of $18 million is still very undervalued given the 53 Megawatts of power capacity.

Big Digital Energy (Nasdaq: BGDE) — recently rebranded from Mawson Infrastructure — is undergoing a rapid strategic and governance reset driven by an activist-led management takeover and a push to monetize its existing digital infrastructure footprint.

Recent corporate  filings and press releases indicate that control of the company has effectively shifted to a new management group which now holds about 28%of the outstanding shares. New management and a new Board of Directors has repositioned the company around a “monetize-now, pivot-later” model to address:

• Near-term: generate cash flow from Bitcoin mining
• Longer-term: transition mining sites toward AI / HPC data center infrastructure

This strategy leverages Big Digital’s existing 129 MW of powered capacity, a key asset in a power-constrained data center market. BGDE's most important recent announcement is a 75 MW colocation / joint mining agreement with the following details:

• Approximately 25,000 ASIC (S19XP) Bitcoin miners to be deployed
• 12-month term, cancellable with 30 days’ notice (providing opportunity for BGDE to accommodate a potential AI customer)
• Uses existing capacity (no incremental capex from BGDE)
• Designed to rapidly fill idle infrastructure and generate cash flow

Unique and Preferential Economics and Revenue Structure of Agreement

• 50/50 profit share between BGDE and the counterparty
• BGDE receives 100% of cash mining proceeds upfront
• Counterparty compensated via:
  • 20% stock (VWAP)
  • 80% warrants
• Implies a capital-light structure where the partner funds hardware while BGDE monetizes power. This structure effectively converts unused megawatts into immediate revenue without balance sheet strain.

The latest 8-K filing clarifies several important financial terms:

• Warrants issued at $20 strike price with 5-year duration (Over 4X the current market price)
• Equity issuance tied to monthly mining cash flows
• Affiliate compensation heavily skewed toward equity (vs. cash), supporting thesis of alignment with current shareholders.

 Impact of this agreement for BGDE:

• Total installed capacity: 129 MW
• Contract utilization: 75 MW (~58% of capacity)

NOTE: Please do your own due diligence starting with recent press releases and SEC filings.